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Mcchip Resources
(MCS)
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Rating:52Neutral
Price Target:
C$0.71
▲(1.00% Upside)
Action:Reiterated
Date:07/04/26
The score is held back primarily by weak operating performance and ongoing cash burn (negative EBIT/EBITDA and negative operating/free cash flow), despite a strong, low-leverage balance sheet. Technical indicators are neutral-to-soft and do not add clear momentum support, while the very low P/E and unusually high dividend yield look attractive on the surface but are discounted due to sustainability concerns tied to cash flow and earnings quality.
Positive Factors
Balance sheet strength (no debt)
Zero reported debt across the latest periods gives durable financial flexibility. Low leverage reduces solvency risk, preserves optionality to raise capital or fund operations, and provides management runway to address operating issues without immediate refinancing pressure.
Negative Factors
Weak core operating performance
Negative TTM revenue and deeply negative EBIT/EBITDA show persistent operating deficits. Core business underperformance erodes intrinsic profitability and margins, meaning recovery depends on a substantive operational turnaround or new sustainable revenue sources rather than short-term fixes.
Read all positive and negative factors
Positive Factors
Negative Factors
Balance sheet strength (no debt)
Zero reported debt across the latest periods gives durable financial flexibility. Low leverage reduces solvency risk, preserves optionality to raise capital or fund operations, and provides management runway to address operating issues without immediate refinancing pressure.
Read all positive factors
Mcchip Resources (MCS) vs. iShares MSCI Canada ETF (EWC)
Market Cap
C$4.53M
Dividend Yield90.97%
Average Volume (3M)3.23K
Price to Earnings (P/E)1.5
Beta (1Y)0.25
Revenue GrowthN/A
EPS Growth-10.65%
CountryCA
EmployeesN/A
SectorGeneral
Sector StrengthN/A
IndustryGold
Share Statistics
EPS (TTM)0.49
Shares Outstanding5,960,096
10 Day Avg. Volume2,381
30 Day Avg. Volume3,231
Financial Highlights & Ratios
PEG Ratio0.05
Price to Book (P/B)0.45
Price to Sales (P/S)-490.38
P/FCF Ratio-5.01
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
Mcchip Resources Business Overview & Revenue Model
Company Description
McChip Resources Inc. is a Canadian enterprise actively engaged in the natural resource sector. Its investments primarily include holdings in petroleum and various mineral interests, acquired both directly and indirectly. A key asset in its portfo...
Mcchip Resources Financial Statement Overview
Summary
Income Statement
34
Negative
Balance Sheet
78
Positive
Cash Flow
26
Negative
| Breakdown | TTM | Dec 2025 | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | -429.71K | -13.39K | 1.30M | 480.49K | 560.20K | 695.28K |
| Gross Profit | -441.21K | -31.78K | 1.28M | 452.90K | 546.18K | 679.79K |
| EBITDA | -2.28M | -2.28M | 452.27K | -335.45K | -150.47K | -161.29K |
| Net Income | 2.73M | 3.72M | 2.94M | 563.13K | -374.54K | 1.23M |
Balance Sheet | ||||||
| Total Assets | 14.57M | 15.39M | 12.83M | 10.34M | 9.80M | 9.65M |
| Cash, Cash Equivalents and Short-Term Investments | 13.32M | 11.69M | 10.83M | 8.84M | 8.28M | 7.78M |
| Total Debt | 0.00 | 0.00 | 1.80M | 1.82M | 1.56M | 830.00K |
| Total Liabilities | 538.26K | 769.92K | 2.15M | 2.10M | 1.78M | 1.02M |
| Stockholders Equity | 14.03M | 14.62M | 10.68M | 8.25M | 8.03M | 8.63M |
Cash Flow | ||||||
| Free Cash Flow | -1.33M | -1.31M | 208.80K | -149.10K | 140.96K | 121.56K |
| Operating Cash Flow | -1.33M | -1.31M | 208.80K | -149.10K | 140.96K | 163.23K |
| Investing Cash Flow | 6.52M | 7.59M | 291.38K | -208.62K | -169.54K | -86.53K |
| Financing Cash Flow | 222.18K | -1.57M | -537.14K | -85.53K | 420.20K | -5.91K |
Mcchip Resources Technical Analysis
Negative
0.70
Price Trends
0.81
Negative
0.83
Negative
0.72
Positive
Market Momentum
-0.01
Negative
43.98
Neutral
25.76
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:MCS, the sentiment is Negative. The current price of 0.7 is below the 20-day moving average (MA) of 0.76, below the 50-day MA of 0.81, and below the 200-day MA of 0.72, indicating a neutral trend. The MACD of -0.01 indicates Negative momentum. The RSI at 43.98 is Neutral, neither overbought nor oversold. The STOCH value of 25.76 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:MCS.
Mcchip Resources Peers Comparison
UnderperformOutperform
Sector (55)
TSE:MCS
Mcchip Resources
0.74
0.25
49.49%
TSE:CCMI
Canadian Critical Minerals
0.03
>-0.01
-16.67%
TSE:LOD
Stratabound Minerals
0.37
0.24
196.75%
TSE:GIGA
Giga Metals Corporation
0.08
<0.01
7.14%
TSE:BATX
Battery X Metals
2.55
-3.65
-58.87%
TSE:FOMO
Formation Metals Inc.
0.32
-0.05
-13.70%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.